https://www.taxtmi.com/caselaws?id=35444 Duty on nylon chips or polyamide chips emerging during manufacture of exempted nylon filament yarn was sustained, but the credit earlier reversed on caprolactam and the amount already paid had to be adjusted against the demand. The analysis treated the emergence of chips as part of the manufacturing process and accepted duty liability on the intermediate product, while requiring verification of prior payments before final computation. Penalty was not justified because the record did not support suppression of facts, especially where the Department itself had shifted its stand on the treatment of the intermediate product. The penal consequence was therefore deleted. en-us Mon, 11 May 2009 00:00:00 +0530 Sat, 06 Mar 2010 00:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=35444 Duty on nylon chips or polyamide chips emerging during manufacture of exempted nylon filament yarn was sustained, but the credit earlier reversed on caprolactam and the amount already paid had to be adjusted against the demand. The analysis treated the emergence of chips as part of the manufacturing process and accepted duty liability on the intermediate product, while requiring verification of prior payments before final computation. Penalty was not justified because the record did not support suppression of facts, especially where the Department itself had shifted its stand on the treatment of the intermediate product. The penal consequence was therefore deleted. Case-Laws Central Excise Mon, 11 May 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=35444